Minutes - CAC - 2022-07-13COSTA MESA SANITARY DISTRICT
MINUTES OF THE CITIZENS ADVISORY COMMITTEE MEETING
JULY 13, 2022
NOTE. This hybrid in -person and teleconferenced meeting will utilize
electronic means consistent with State of California Assembly Bill 361 (Gov.
Code § 54953(b)(3)).
CAC Members present
Cindy Brenneman, Rosemarie Chora, Dickie Fernandez, Judy Gielow, Elodie Katz,
Sue Lester, Michael Tou
CAC Members absent
Jeff Arbour, Annette Watson, Daniel Baume, Dean Fisher
Board Members present
President Ooten
Staff present
Scott Carroll (General Manager), Noelani Middenway (District Clerk & Public
Information Officer), Gina Terraneo (Management Analyst II), Mark Esquer
(District Engineer)
Others present
Mike Balliet, Michael Balliet Consulting
Meeting called to order at 6:02 P.M.
A. OPENING ITEMS
Procedural: 1. Call to Order
Citizens Advisory Committee (CAC) Chair Katz called the meeting to order
at 6:02 P.M.
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Procedural: 2. Roll Call
District Clerk & Public Information Officer, Noelani Middenway, conducted
roll call. She noted that CAC Members Brenneman, Chora, Fernandez,
Gielow, Katz, and Tou were present, while CAC Members Arbour, Baume,
Fisher, Lester, and Watson were not present at this time.
Procedural: 3. Public Comments - Speakers will be limited to three minutes. The
three minutes per speaker time allotted may be extended for good cause by a
majority vote of the committee.
CAC Chair Katz opened public comments. Hearing none, she closed public
comments.
B. ITEMS
Action: 1. Approve the Citizens Advisory Committee Meeting Minutes of May
11, 2022
Recommendation: That the Citizens Advisory Committee approves the meeting
minutes as presented.
CAC Chair Katz introduced the item.
Motion: To approve the Citizens Advisory Committee Meeting minutes of
May 11, 2022.
Motion by Cindy Brenneman, second by Michael Tou.
Final Resolution: Motion carries 6-0-0-5
Ayes: Cindy Brenneman, Rosemarie Chora, Dickie Fernandez, Julie Gielow,
Elodie Katz, Michael Tou
No: None
Abstain: None
Not Present: Jeff Arbor, Daniel Baume, Dean Fisher, Sue Lester, Annette
Watson
There was no further discussion.
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Action, Receive and File: 2. Receive and File Waste Composition Study #2 from
Michael Balliet Consulting
Recommendation: That the Citizen's Advisory Committee provides comments and
recommendations to the Board of Directors regarding the results of the Solid
Waste Characterization Study Conducted on May 19, 2022.
CAC Chair Katz introduced the item.
General Manager, Scott Carroll, described the purpose of the Solid Waste
Characterization Study.
CAC Vice Chair Lester entered the meeting at 6:06 p.m.
Mike Balliet of Michael Balliet Consulting (MB) provided report details.
CAC Member Chora inquired about the neighborhood that was sampled for
the study.
Mr. Balliet stated that the study utilizes random sampling. He added that
the study includes broad samples from a cross section of the area.
CAC Chair Katz commented that the photos included in the report were
helpful and that one of the residences included in the sample produced a
significant amount of green waste.
Mr. Balliet stated that the waste appeared to be palm leaves, but it was a
different plant that CR&R's Anaerobic Digester was able to process.
CAC Chair Katz inquired about Senate Bill (SB) 1383 compliance.
Mr. Balliet stated that, according to SB 1383, 75% of organic waste must be
diverted from the landfills. He reported that 14% of the waste collected in
the sample was organic waste. He confirmed that the District is compliant
with the mandate's 75% diversion goal.
CAC Chair Katz inquired about recyclable items.
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Mr. Balliet stated that CR&R utilizes different forms of technology to
recover recyclables such as cardboard, paper, beverage containers,
aluminum foil, and bi-metal cans.
President Ooten asked if the District has made any substantial changes in
educating the public about sorting their waste since the Waste Composition
Study #1 was published.
Mr. Carroll stated that District customers have been receiving the same
educational information. He noted that the customers included in the
sample for Waste Composition Study #2 have adopted the appropriate
recycling behaviors.
President Ooten shared that the Midway City Sanitary District has been
hand delivering recycling notices to their customers. He inquired if the
District has utilized similar methods of outreach.
Mr. Carroll stated that the District mails each trash customer a copy of the
quarterly newsletter. He added that District staff and CR&R administer the
Cart -to -Cart Outreach Program.
CAC Vice Chair Lester recognized CR&R Representative, Mike Carey, for
helping the customers in the sample area improve their recycling efforts.
Mr. Carroll shared that the OC Register published an article regarding the
successes and challenges of SB 1383.
There was no further discussion, and the report was received.
Action, Receive and File: 3. Free Shredding/Compost Event — Final Report
Recommendation: That the Citizens Advisory Committee receives and files this
report.
CAC Chair Katz introduced the item.
Mr. Carroll stated that the District's Compost & Shredding Event was a huge
success and shared event data. He noted that the event was completed
under its budgeted amount and recognized CAC Members Katz, Lester,
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Brenneman, and Tou for their assistance. He added that the District is
planning to provide the event next year.
CAC Member Tou thanked District staff and its event partners for their
coordination. He asked if the same event will be provided annually or if it
will be scaled down according to need.
Mr. Carroll stated that District staff is planning to host the event annually
and the District is hoping to receive 1,000 customers next year.
CAC Chair Katz recognized District staff and Management Analyst I, Nabila
Guzman, for her outstanding work in planning the event.
There was no further discussion, and the report was received.
Action: 4. Consider Recommending the Board of Directors Approve 2.8% Rate
Adjustment to CR8rR Environmental Services
Recommendation: That the Citizens Advisory Committee considers
recommending the Board of Directors approve 2.8% rate adjustment to CR&R
Environmental Services.
CAC Chair Katz introduced the item.
Mr. Carroll provided report details. He stated that, in their amended
contract, CR&R has requested a 2.8% rate adjustment. He noted that District
staff recommends approving the request since the cost can be absorbed
into the current budget. He added that this rate adjustment was requested
in regards to inflation and not CR&Ws performance levels.
CAC Member Chora inquired about CR&Ts eligibility for requesting a rate
adjustment.
Mr. Carroll stated that CR&R can request a Consumer Price Index (CPI)
increase every two years and that it must be approved by the Board of
Directors. He noted that the Board denied CR&Ws previous request for a
5.6% rate adjustment.
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CAC Vice Chair Lester asked if this request has already been reviewed by
the Board.
Mr. Carroll stated that the Board requested performance data from CR&R
before issuing a decision on the rate adjustment. He confirmed that CR&R
has submitted a request for a 2.8% increase to the Board.
CAC Chair Katz asked if the District has available funds in the existing
budget for the rate adjustment.
Mr. Carroll clarified that the District is currently using its reserve funds to
balance the budget.
CAC Vice Chair Lester asked if the Board is reviewing other items from
CR&R that will affect solid waste rates.
CAC Chair Katz clarified that Director Eckles commented that the District's
transition to a three -cart system in addition to CR&R's contract negotiations
will result in an increased financial burden for ratepayers.
Mr. Carroll confirmed that if the Board approves CR&R's contract terms,
then the District will be required to increase solid waste rates due to
expenditures related to SB 1383 compliance.
Discussion followed regarding inflation.
CAC Member Fernandez expressed support for CR&R's request in light of
the current trash service issues taking place in Santa Ana with Republic
Services.
CAC Vice Chair Lester commented that if CR&R were to experience major
service issues, then it would be very unlikely that they would offer
discounted rates for their lack of performance. She stated that she is
hesitant to make concessions for poor quality service at the expense of the
ratepayers. She added that she understands why CR&R submitted this
request and their service issues, but she does not support rewarding poor
service. She inquired if CR&R has achieved their contractual obligations.
She noted that customers are still experiencing missed trash pickups.
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Mr. Carroll provided a service update of CR&R's operations. He noted that
CR&R is experiencing truck delivery delays due to supply chain issues. He
shared that they added an additional driver to assist with the Large Item
Collection Program. He reported that CR&R has 60 customer service
employees but requires 70 to meet their demand levels. He added that the
entire industry is experiencing hiring challenges. He stated that the District
recommends approving the 2.8% increase as a means to address CR&R's
additional costs.
CAC Member Fernandez stated that if the District does not help CR&R offset
their inflation costs, then it could potentially cause more of a negative
impact to the community.
CAC Member Chora stated that CR&R's 2.8% request is a reasonable figure
and expressed support for approving it. She stated that although she is not
satisfied with CR&R's service levels, the rate adjustment amount is not
excessive. She noted that the negotiated contract with CR&R will provide
greater protection for the ratepayers.
CAC Member Tou expressed agreement with CAC Member Chora's
remarks. He asked if decreases in the recycling disposal tonnage will
produce savings that can help offset costs.
Mr. Carroll stated that decreases in tonnage could potentially lead to
savings.
CAC Chair Katz asked why the previous CPI request was dependent on
CR&R's performance levels.
Mr. Carroll stated that the Board found it relevant to compare those two
items at that time.
CAC Chair Katz asked when CR&R's rate was last adjusted.
Mr. Carroll stated that it was in 2019.
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CAC Vice Chair Lester stated that CR&R's service issues continued after
their last CPI increase was approved.
CAC Member Brenneman asked how the District will clarify to CR&R that
this rate increase is not linked to their performance review.
Mr. Carroll stated that District staff has communicated to CR&R that the
rate adjustment does not reflect satisfaction with their service levels.
Motion: To recommend that the Board of Directors approve 2.8% rate
adjustment to CR&R Environmental Services.
Motion by Rosemarie Chora, second by Judith Gielow.
Final Resolution: Motion carries 6-1-0-4
Ayes: Cindy Brenneman, Rosemarie Chora, Dickie Fernandez, Julie Gielow,
Elodie Katz, Michael Tou
No: Sue Lester
Abstain: None
Not Present: Jeff Arbor, Daniel Baume, Dean Fisher, Annette Watson
There was no further discussion.
Action: S. Consider Appointing One Citizens Advisory Committee Member to
the Solid Waste Ad Hoc Committee
Recommendation: That the Citizens Advisory Committee appoints one member to
serve on the Solid Waste Ad Hoc Committee.
CAC Chair Katz introduced the item.
Mr. Carroll stated that the CAC needs to appoint one additional member to
the Solid Waste Ad Hoc Committee. He noted the committee meets on an
as -needed basis.
CAC Vice Chair Lester volunteered to serve on the committee.
CAC Member Chora asked what issues are discussed by the committee.
Mr. Carroll stated that the committee discusses any issues related to solid
waste.
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CAC Chair Katz shared some issues that the committee has discussed in the
past.
CAC Member Chora volunteered to serve on the committee.
Discussion followed regarding how many CAC members can serve on the
committee.
CAC Chair Katz proposed to serve as an alternate CAC member for the
committee.
Motion: To appoint Vice Chair Lester and Committee Member Chora to
serve on the Solid Waste Ad Hoc Committee, and to appoint Chair Katz as
an alternate member.
Motion by Elodie Katz, second by Michael Tou.
Final Resolution: Motion carries 7-0-0-4
Ayes: Cindy Brenneman, Rosemarie Chora, Dickie Fernandez, Julie Gielow,
Elodie Katz, Sue Lester, Michael Tou
No: None
Abstain: None
Not Present: Jeff Arbor, Daniel Baume, Dean Fisher, Annette Watson
There was no further discussion.
Action: 6. Provide Comments and Suggestions to Contract Negotiations
Preliminary Deal Points with CR&R Environmental Services
Recommendation: That the Citizens Advisory Committee provide comments and
suggestions to staff regarding contract negotiations preliminary deal points with
CR&R Environmental Services.
CAC Chair Katz introduced the item.
Mr. Carroll provided report details and shared that District staff and CR&R
are recommending transitioning from a two -cart system to a three -cart
system to source separate materials. He stated that CR&R will swap one
Mixed Waste Cart with one blue cart for recyclables in an effort to increase
the District's waste diversion rate. He noted that this transition will require
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extensive public outreach including town hall meetings. He shared that the
negotiated contract with CR&R will include liquidating all damages as an
accountability measure. He added that CR&R has agreed to pay for half
($20,000) of the District's community survey, which was a recommendation
by the CAC. He discussed CR&R's proposed monthly rate of $24.08, which
does not include the District's overhead costs. He stated that CR&R is
currently conducting a rate survey of other waste haulers. He noted that
the District has calculated an overall monthly rate of $26.68. He discussed
the District's current solid waste rate structure.
CAC Member Chora inquired about CR&R's statistic of 23 missed trash
pickups per week.
Mr. Carroll stated that CR&R calculated that statistic.
CAC Member Chora asked for District staff to reanalyze the liquidated
damages section of the contract and inquired about the District's
community survey.
Mr. Carroll confirmed that District staff manages the community survey
and works with the CAC and Board to draft survey questions.
CAC Member Chora discussed the technology section of CR&R's contract
and their proposed camera service. She stated that it is important to ensure
that CR&R's cameras are used to reduce contamination and not as a
weapon against customers. She recommended guaranteeing that these
cameras produce clear and accurate photos for documentation purposes.
She requested further clarification regarding how CR8&R's enforcement
warnings and cart tags are documented and verified.
CAC Vice Chair Lester asked if CR&R will be providing trash carts smaller
than the 65-gallon trash carts.
Mr. Carroll shared that District customers can request 35-gallon trash carts.
He explained that customers will have the option to swap their current
carts for their preferred cart size.
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CAC Vice Chair Lester inquired about offering smaller carts at a reduced
price.
Mr. Carroll stated that District staff can have that discussion with CR&R
after they take inventory of customers' cart sizes and quantities.
CAC Vice Chair Lester inquired about possible occurrences of customers
utilizing other people's trash carts to dispose of their extra bags of trash.
She asked how CR&R can determine who is at fault for misusing trash carts.
Mr. Carroll stated that the District's Operations Code prohibits people from
placing their trash in other customers' trash carts. He added that pictures
and other forms of proof will be necessary to make that type of claim.
CAC Vice Chair Lester inquired about CR&R's statistic of 23 missed trash
pickups per week and asked if that number refers to 23 residences or 23
streets.
Mr. Carroll stated that it refers to 23 residences that were missed.
CAC Member Chora asked if CR&R would only be charged according to the
number of missed trash pickups.
Mr. Carroll confirmed that CR&R will be charged based on the number of
missed trash pickups.
CAC Vice Chair Lester discussed instances of reported missed trash
pickups. She stated that if a customer reports 12 streets that were missed
for service, it is counted as 12 residences unless every street address is
listed.
Mr. Carroll stated that the reports tend to be too vague to determine how
many residences did not receive service. He added that customers need to
report the exact address to accurately document CR&R's performance.
CAC Vice Chair Lester clarified that, in the past, she has reported street
names with the number of residences that were not serviced.
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Mr. Carroll stated that each residence is then counted as a missed
collection. He noted that if this problem persisted on a weekly basis, then
the District's Code Enforcement Officer would conduct inspections to
document each instance.
Discussion followed regarding how many missed trash pickups have been
recorded.
CAC Member Tou asked how CR&R and the District communicate to its
customers about trash delays and how customers can report other trash
issues.
Mr. Carroll stated that the District prefers for its customers to call or use
the mobile app to report trash issues. He added that the District utilizes its
social media platforms, issues quarterly newsletters, places notices on
trash carts, and meets with communication consultants to perform a
variety of public outreach methods. He noted that the District also relies on
its CAC members to be ambassadors.
CAC Chair Katz asked if District staff follows up with requests that are
submitted through the mobile app.
Mr. Carroll confirmed that District staff follows up with CR&R for GPS
records or sends out the Code Enforcement Officer to follow the trash
trucks and review trash cart placement. He confirmed that the District is
working with CR&R to obtain their data.
CAC Vice Chair Lester stated that CR&R has improved their communication
regarding trash delays with customers. She shared that she has received
automated calls from CR&R. She inquired about trash enforcement and
fines between the District and the City of Costa Mesa.
Mr. Carroll stated that the District and the City will have different
enforcement measures and fines.
CAC Member Tou asked how the District compares with other cities
regarding the rollout of the three -cart system and inquired about CR&Ws
rate adjustment policy.
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Mr. Carroll stated that the District is waiting to review CR&R's rate survey
to compare the net -to -hauler costs. He added that CR&R's cart inventory
should be ready for review in mid -September. He noted that rate
adjustments require Board approval.
CAC Chair Katz recognized District staff for their efforts in negotiating an
amended contract with CR&R. She expressed support for further educating
customers on how to report trash issues. She discussed radio -frequency
identification (RFID) trash carts and inquired about contamination fee
fines, CR&R's appeals process, and lockable trash carts.
Discussion followed regarding CR&R's trash cart audit, contamination fees
and administrative citations, and lockable trash carts.
CAC Vice Chair Lester asked for the mobile app's map to be limited to the
District's service area.
CAC Member Gielow asked for a copy of the meeting agenda.
Mr. Carroll stated that the District can provide her a copy of the agenda
with the staff reports prior to the next meeting.
Discussion followed regarding trash cart sizes.
CAC Chair Katz asked if the 35-gallon trash carts will be discontinued.
Mr. Carroll confirmed that the 35-gallon trash carts will still be available
for customers.
CAC Member Chora inquired about the District's public outreach materials.
Mr. Carroll stated that all materials will be reviewed by District staff and
provided in Spanish.
CAC Member Chora inquired about CR&R's sustainability coordinator and
recommended increasing the fees for liquidated damages.
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Mr. Carroll thanked everyone for the comments and feedback.
There was no further discussion.
C. CLOSING ITEMS
Procedural: 1. Committee Member Comments
CAC Member Chora commented that the California Resource Recovery
Association (CRRA) conference is taking place in September. She
encouraged the District to have staff members attend the conference.
Mr. Carroll shared that Ms. Guzman will be attending the CRRA conference.
CAC Vice Chair Lester thanked the District for the Compost and Shredding
Event. She shared that the District's Bilingual Pay policy was approved and
thanked the Board for supporting District employees.
CAC Chair Katz expressed support for the Board's approval of a cost -of -
living adjustment for District employees.
There was no further discussion.
Procedural: 2. Board/Staff Comments
Mr. Carroll commented that an unflattering article about the District was
published in the OC Register. He shared that there was a cultural issue
within the Wastewater Department about four years ago. He noted that the
issue was handled immediately, and action has been taken to improve
workplace culture.
CAC Chair Katz and CAC Member Tou thanked Mr. Carroll for addressing
the article.
CAC Member Tou suggested sharing such articles with the CAC prior to
them being published, if possible.
There was no further discussion.
Procedural: 3. Adjournment
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CAC Chair Katz adjourned the meeting at 7:20 p.m. and stated that the next
CAC meeting is scheduled for September 14, 2022.
Elodie Katz
Citizens Advisory Committee Chair